The morning news. [volume] (Savannah, Ga.) 1887-1900, 1887-06-27
NEW YORK FIRMS SCANTILY IN
SURED.

Heavy Losses by Fire Predicted in
The Wholesale District of That City.
NEW YORK, June ga peculiar circum-
stance about the recent great fire in the
Havemeyer sugar reineries was the COM
paratively small proportion of insurance.
According to the published statements the
loss was nearly million, whereas the in
surance was only $3.50, 900. AS fire insur-
ance rates are not heavy and the risk of
fire is great, it would seem at first thought
that the Havemeyer Company had been
careless in not taking out a heavier insur-
ance. The fact is that not one-quarter of the
big manufacturing firms and wholesale bust
nesshouses in New York and Brooklyn can
escure within so per cent. of the fire insur-
ance that they desire.
II. b. Clafiin, Mills & Glib, Lord & Tay-
lor and hosts of other large business houses
are continually on the lookout for chances
to insure. Their stock is so very valuable
that none of the New York companies will
take the risk of insuring more than a small
share of it. By the terms of a law passed
in 1884 Insurance companies not duly repre-
sented in the State cannot bid for insurance
in the State, and the restriction applies also
to the parties who insure.
No insurance company will take a very
great risk in one house, but each spreads its
risks as much as possible. Consequently,
the many millions of dollars invested in the
wholesale districts cannot be covered by the
fifty or sixty insurance companies i'll the
State. Proprietors of some of the largest
business houses in this city have assured me
that millions of dollars would absolutely be
lost by them in case of fire, as they are all
insufiiciently insured. Some of them have
agents abroad trying to secure sufficient in
surance, although it's against the New York
law. Many have themselves constructed at
great cost such appliances as will make a
large fire almost impossible.
happened into one of the business houses
thus protected the other day. The building
is made of iron, seven stories high. Small
pipes run along the ceilings and walls inside,
and are connected with a number of enor-
nous tanks on the roof. These are kept
constantly filled with water, and by an
electrical arrangement connected with the
pipes it is only necessary to touch button
on any of the floors to send the water flying
in every direction throughout the building
The water comes down through little holes
in the pipes, each of which is made like a
hose with great many MOBILES.
All the appliances that human ingenuity
is capable of devising for summoning assist
ance and aiding in smothering fire are placed
on every floor. OF course the damage to the
stock would be very great if the water was
burneu Oh, anu III WOuiu Only Dt uollc tts u
last resort when ordinary preventives had
proved futile.
In talking over the matter with the man
ager of the house he said that with all their
care large fire would prove very disastrous
to them. Much of their stock they had
stored in different warehouses so as to lessen
the risk. Were a fire once TO gain Roadway
in the wholesale district, in which his house
is, the. damage to the business interests of
the city would be tremendous. He ridi-
culed the law which had been passed in the
interests of the insurance companies and
which declares it TO bea misdemeanor for
merchant to attempt TO secure his property
by insuring outside of the State. In no other
State is this the case, and it gives outside
merchants great advantages over New York
merchants.
"Some stormy, windy night, he conclud-
ed, "when the firemen will be busy in an
other part of the city, there will be great
fire in the wholesale districts down town.
The result will be panic in business circles
and a severe blow will be dealt the business
interests of the country. Ask any large
merchant and he will tell you that such a
presentiment exists in the minds Of nearly
all our leading merchants We feel sure it
will Gomez CHARLES j. RosEBAULT.